Analyst commentary. Includes: STI, MRCY, USCR, BIG, WING, ZBRA, JPM, LGND, CBPO, and DLPH.
| Comments |
|---|
| BIG Big Lots, Inc. ($50.99) - Retailing - BIG broke a quadruple top in Tuesday’s trading. This move broke through the bearish resistance line, flipping the trend positive and upticking the stock to a 4 for 5’er. Monthly momentum just flipped positive, suggesting the potential for further upside from here. Those interested in new positions can consider this entry point. BIG has recently found support at $46 and $47. Note overhead resistance at $55. Earnings expected 8/24. |
| CBPO China Biologic Products Inc. ($93.21) - Biomedics/Genetics - CBPO broke a fourth consecutive sell signal after breaking a double bottom at $94. The trend is negative here and it's a 0 for 5'er. Look elsewhere for now. No near term support left on the chart. |
| DLPH Delphi Automotive PLC ($93.92) - Autos and Parts - During Tuesday’s intraday trading session, DLPH broke a double top at $94. This stock is a 4 for 5’er within the Autos and Parts sector that has maintained a market RS buy signal since December 2012. Weekly momentum has been positive for four weeks, suggesting the potential for further upside from here. Additionally, the price target is $120, adding to the technical picture. Okay to consider DLPH on a pullback. The first sign of trouble from here comes with a move to $86, a double bottom sell signal. |
| JPM J.P. Morgan Chase & Co. ($93.68) - Banks - JPM reached a new rally high after breaking a double top at $95. The trend is positive here and it's a 5 for 5'er. Banks are also favored at this time. Okay to consider JPM here or on a pullback. The first sign of trouble would occur at $90, a double bottom break. |
| LGND Ligand Pharmaceuticals ($128.97) - Biomedics/Genetics - LGND is trading well above the bullish support line and with the most recent action, broke a double top at $126 and moved higher to $128. This stock is a strong 4 for 5’er within the favored Biomedics/Genetics sector that has a price target of $139, suggesting the potential for further upside from here. Okay to hold here or buy on a pullback as the stock is nearing the top of the 10 week trading band, indicating that it is overbought here. The first sign of trouble from here comes with a move to $114, a double bottom sell signal. |
| MRCY Mercury Computer Systems Inc ($44.55) - Computers - MRCY broke a double top at $45 on Tuesday, marking a new 52 week high. This is the sixth consecutive buy signal on the chart for this 5 for 5’er within the favored Computers sector. In fact, MRCY ranks in the top quartile of the sector RS matrix, making it one of the stronger names in this space. Okay to buy or hold here as demand is in control and the technical picture is positive. The first sign of trouble from here comes with a move to $39, a double bottom sell signal. |
| STI SunTrust Banks, Inc. ($58.05) - Banks - With the most recent action, STI broke a double top at $59, the second consecutive buy signal on the chart. This stock is a strong 5 for 5’er within the favored Banks sector that has been trading above the bullish support line since January 2012. Furthermore, the price target is $108, suggesting the potential for further upside from here. Okay to buy or hold here as demand is in control. From here, overhead resistance lies at $61 while support is at $53. |
| USCR US Concrete Inc ($78.50) - Building - After forming, but not breaking, a double top at $80, USCR broke a double bottom at $75, setting up a potential shakeout pattern on the chart. From here, the action point of the shakeout would be triggered with a reversal up into X’s and the pattern would then complete with a triple top break at $81. This stock is a strong 4 for 5’er within the favored Building sector that has seen three months of positive monthly momentum. Okay to play the pattern on the reversal up or upon completion. From here, further support lies at $68, the bullish support line. |
| WING Wingstop Inc. ($32.75) - Restaurants - WING broke a quadruple top at $34 with the most recent action. The trend is positive and it's a 4 for 5'er. Okay to consider this stock on a pullback. The first sign of trouble would occur at $28, a double bottom sell signal. |
| ZBRA Zebra Technologies Corp ($106.65) - Electronics - After a positive reaction to earnings, ZBRA broke a double top at $104 and rallied higher to $106. This stock is a strong 4 for 5’er within the favored Electronics sector that has maintained a peer RS buy signal since February 2014. Demand is in control and the technical picture is strong. From here, the first sign of trouble comes with a move to $94, a double bottom sell signal. Note overhead resistance at $108. |
